8/3/2019 PPP rules
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None of the customary standards and practices that apply to normal, conventional
business, investing and finance applies to private funding programs. It is a
"privilege" to be invited to participate in a Private Placement Transaction Program,
not a "right." The trading administrators and managers have a virtually endless
supply of financially qualified applicants. All things considered, the trading
administrators and their banks will favor the applicant who provides the bestpaperwork. An applicant should never underestimate what the trading entities
knowledge about him. Failure to provide full disclosure will disqualify the
disingenuous. Clients must first prove that they are qualified, not the other way
around. Until the client is accepted by Compliance, the Traders, and Trading
Banks, no placement can occur. The U.S. Patriot Act has introduced obligatory
compliance procedures. Face to face interviews with compliance officers and
program management are occasionally required, but generally not necessary. Any
arrogant or demanding personality will guaranteed to be rejected. Only the
principal owner of funds is required as signatory. Corporations must empower anOfficer or Director as sole, exclusive signatory by using a Corporate Resolution.
Not only do the funds have to be on deposit in an acceptable bank; they must also
be in an acceptable jurisdiction. It is felony fraud to submit documents or financial
instruments that are forged, altered or counterfeit. Such documents are promptly
referred to the appropriate law enforcement agencies for immediate criminal
prosecution. The practices, procedures and rules are determined by the U.S.
Federal Regulatory Authorities, Western European Central Banks program
management, licensed traders and trading banks. It is their decision whom to
accept and whom to reject. Contract terms, yield, schedules, etc., are made to fit
their needs and schedules and not the caprices or demands of the investors. This
marketplace is highly regulated and strictly confidential, and absolute
confidentiality by the investor is a key element of every contract. A client who
breaks confidentiality will precipitate instant cancellation. Finally, submission of
the application documents to more than one management group at a time is termed
"shopping". If an investor "shops" he can expect that this fact shall be quickly
disseminated and known among the program management groups who maintain
close communication and will then be accepted by none and rejected by all.
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